Enjin Coin, token of the eponymous company (famous for play to earn blockchain games), just hit its highest level since 12th May 2021. The price rose to $2.18 on Monday 23rd August, making total market capitalisation $1.6billion. This makes ENJ, the native token of the NFT gaming company, the 70th biggest cryptocurrency in the world.
This increase in value is to be expected. Enjin itself is a blockchain specifically designed to help NFT games and developers. Founded in 2017, the sector was relatively quiet back then but today non-fungible tokens are huge business. By July, total sales for 2021 had hit $2.5billion.
What Triggered the Enjin Coin Value Hike
Simply put, the rise in value of ENJ has been a long time coming. Various factors have contributed to this, not least the incredible prices people have been paying for certain tokens and rise in play to earn games. Demand is so high that in March this year non-fungible artist Beeple sold the piece ‘Everydays: The First 5,000 Days’ for a cool $69million. The most expensive NFT to date.
However, the recent price hike for Enjin Coin could well have been caused by credit card giant VISA. The financial powerhouse has invested $150,000 into NFTs by way of buying one of the much sought after CryptoPunks. The collection featured in our guide to investing in non-fungible art.
But wait, there’s more. In addition to one of the world’s biggest brands jumping in on the NFT action, cryptocurrencies in general saw significant value growth. Bitcoin, for example, broke the $50,000 mark, while Ethereum surpassed $3,300. The point being the cryptocurrency space in general is continuing to grow.
Enjin NFT Games are taking on Blockchain gaming
If you’re knew to Enjin then understanding what the platform does can also help get your head around the Enjin Coin value rise. The blockchain is specifically aimed at NFT gaming, and has been designed to help developers achieve their blockchain game goals. Although just one side of the sector, this includes the development of popular titles linked to the ecosystem, many with play to earn mechanisms. These include Azure Heroes, Age of Rust, Lost Relic, and The Six Dragons.
To give an idea as to the scale of the platform, there are currently 42,000 traders working on Enjin. Between them they lay claim to 800,000 assets. Suffice to say, once things have hit this kind of size we should expect the market value of the platform — and any associated currency — to climb. Putting it into perspective, back in April ENJ was valued at just $0.64777, meaning yesterday’s price represented growth of 230%. The currencies all-time high was $3.90.
Cryptocurrencies Are Becoming More Visible
On the whole, cryptocurrencies are becoming much more visible this year. This weekend, some of the NFTEvening team attended the Summer of Love Festival in Manchester, UK. The event had nothing to do with crypto or NFTs, but among other commendable aspects of the weekend on-site bars accepted Bitcoin payments. This gives some idea as to the mainstream adoption of cryptocurrency. Meanwhile, in other news, Crypto.com has just signed a $100million deal with Formula 1 to become the sport’s official Cryptocurrency Sponsor. This is before we come to the rise in play to earn games, such as Axie Infinity, which are helping new audiences get familiar with crypto payments and income.
All investment/financial opinions expressed by NFTevening.com are not recommendations.
This article is educational material.
As always, make your own research prior to making any kind of investment.